Higher tax take caps fiscal gap

The government logged a budget deficit of P1.111 trillion from January to November which was narrower by 10.09 percent compared with a year ago, the Bureau of the Treasury reported Thursday.

The BTr said this accounts for 74.10 percent of the P1.499 trillion program for this year, and reflects the smaller budget deficit in November at P93.3 billion that was 24.75 percent less than that of a year ago.

The BTr attributed the lower November deficit to a 2.82 percent growth in revenue collection and a 4.69 percent contraction in public spending.

Total collection grew by 8.75 percent to P3.564 trillion in the first 11 months, mostly due to non-tax sources and a 2.8 percent higher contribution in November at P340.4 billion.

The cumulative amount accounted for 95.58 percent of the P3.729 trillion full-year target of the national government.

Breaking it down, the Bureau of Internal Revenue collected P2.34 trillion year-to-date or 8.64 percent higher than last year. This accounted for 88.77 percent of its P2.639 trillion full target.

Its collection last month declined to P210.2 billion, from P237.1 billion in the same period last year due to an adjusted deadline for VAT remittance, the BTr said.

Meanwhile, the Bureau of Customs contributed P812.0 billion, up by 2.88 percent as of November and represented 92.89 percent of its P874.2 billion target.

The BTr reached a cumulative revenue of P216.3 billion, jumping by 45.96 percent compared to last year and more than tripled its P58.3 billion full-year target.

In November alone, state income surged to P41.5 billion from P5.3 billion a year ago.

Income sources included interest from its managed funds, profits share from Philippine Amusement and Gaming Corp., and Manila International Airport Authority.

Non-tax revenues increase

Contributions from other sources or non-tax revenues, privatization proceeds, and fees rose by 1.8 percent to P165.6 billion year-to-date.

Meanwhile, expenditures as of November rose by 3.59 percent to P4.674 trillion and represented 89.42 percent of the full-year target.

The BTr said national government spending slowed last month by 4.69 percent or P21.3 billion lower due to several reasons.

These included the lower National Tax Allotment shares of local government units, lower direct payments made by development partners for the foreign-assisted rail transport projects of the Department of Transportation.

Others were the different schedules of big-ticket disbursements from the Department of Public Works and Highways and the Department of Social Welfare and Development.